by The Global Self-Storage Market is estimated to be valued at US$ 55843.56 Mn in 2023 and is expected to exhibit a CAGR of 5.2% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
The self-storage market refers to offering secured storage space to individuals and businesses where the customers rent storage space for their personal or business belongings. Self-storage spaces come in various sizes, from small closets to large storage areas for household items, vehicles, boats and more. It provides a cost-effective solution for temporary or long-term storage needs. With rapid urbanization and small living spaces, self-storage provides flexibility to store unused items. The growing need for temporary storage due to relocation, downsizing, renovation work etc. continues to drive the demand in the market.
Market key trends:
The growing population, improving economic conditions and changing lifestyle patterns are projected to drive the demand in the self-storage market over the forecast period. According to UN estimates, the global population is expected to reach 8.5 billion by 2030 and urban population will account for 60% of the total. This is expected to put pressure on existing housing and commercial infrastructure, necessitating storage outside living spaces. Furthermore, increasing labor mobility, nuclear families and demand for temporary storage due to shifting, downsizing or renovation is driving the need for self-storage units. Real estate crunch in major cities has also augmented the self-storage infrastructure to optimize space utilization. Market players are investing in developing mobile applications and online reservation systems to improve convenience and discoverability for customers. This is expected to provide a thrust to market growth over the coming years.
Porter’s Analysis
Threat of new entrants: New operators face high costs for facility development and need to gain brand recognition. Existing operators have economies of scale.
Bargaining power of buyers: Customers can switch between providers easily since products are largely homogenous. This gives them higher negotiating power.
Bargaining power of suppliers: Suppliers of facilities and equipment are many. This reduces their ability to influence prices.
Threat of new substitutes: Alternatives like rented spaces and home storage pose competition. However, self-storage provides accessibility and security that others lack.
Competitive rivalry: Many players operate in the market. Competition is based on location, pricing, security features and additional value-added services.
Key Takeaways
The Global Self-Storage Market is expected to witness high growth, exhibiting CAGR of 5.2% over the forecast period 2023 to 2030, due to increasing urbanization and migration within cities. The market size for 2023 is estimated to be US$ 55843.56 Mn.
Regional analysis: North America dominates the market currently due to high storage space usage in the US. However, Asia Pacific is expected to grow at the fastest pace during the forecast period, led by China, India and Japan. Increased household formation in developing countries drives demand.
Key players: Key players operating in the self-storage market are Global Self Storage Inc., U-Haul International Inc. (Amerco), Urban Self Storage Inc., Life Storage Inc., Amsdell Cos./Compass Self Storage, CubeSmart LP, All Storage, National Storage Affiliates Trust, National Storage REIT, Safestore Holdings PLC, (Great Value Storage) World Class Capital Group LLC, Simply Self Storage Management LLC, SmartStop Asset Management LLC, StorageMart, Metro Storage LLC, Prime Storage Group, and W. P. Carey Inc.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
